The central bank has notified all credit issuing companies that a bank or NBFC checking a customer’s credit report (Free CIBIL Score) must send the information to the customer. This information can be sent through SMS or email. The Reserve Bank of India has taken this decision because there have been many complaints about the credit score.
In this article, you will get the detailed information about the CIBIL Score, its new rules, CIBIL score range, full form and much more.
What Is A Credit Score?
Creditworthiness is a very important factor in granting loans, especially personal loans. Financial companies and banks that grant personal loans to their customers check their creditworthiness and then grant the corresponding loan.
However, many customers were often rejected by banks because of poor scores in their My CIBIL score reports or issues with Bajaj Finserv CIBIL score data. Now, the RBI has informed all banks about the new rules for CIBIL score reporting to protect customer interests.
You can now easily check credit score free through online platforms such as SBI CIBIL score check free or Paisabazaar CIBIL score, ensuring complete transparency.
RBI New Rules For CIBIL Score
The Reserve Bank of India has announced new rules important for those applying for personal loans and other types of loans.
Inform Customer
The RBI instructed all credit information companies to inform the customer whenever a bank or NBFC checks their CIBIL report. This information can be shared via SMS or email. There have been many complaints about the CIBIL score check free online by PAN number, which is why the RBI took this decision.
Inform Before Declaring The Default
Suppose the customer needs help to repay the loan to the financial company or bank. In that case, they can fail their system so that other banks also get information about the person, making it easier for them to get financial assistance from different sources.
The RBI informed banks and financial companies about their customers’ defaults before declaring them insolvent. This helps the customer maintain the loan amount within a certain period so that they do not default and get a personal loan next time.
If a bank declares you insolvent without prior notice, you can take legal action. These reforms protect consumers who often face negative updates in their My CIBIL score without notification.
Also Read: Benefits Of Making Women A Co-Borrower In The Loan
Banks Will Be Charged Rs 100 Per Day
If a customer files a complaint, the bank must resolve it within 30 days, 21 days for the bank and 9 days for the credit bureau. If it fails, the RBI will charge the bank ₹100 per day. This step will improve accountability, transparency, and trust between banks and customers using CIBIL score login and check my credit score online platforms.
Reason For Rejection
Banks must clearly explain why they rejected a personal loan or credit card application. This helps customers identify issues in their CIBIL score range and improve their credit behaviour to qualify next time.
Prepare A Customer's Annual Credit Report
Under the new RBI guidelines, all banks and financial companies must prepare an annual report on a customer’s credit activity. Customers can also request a free CIBIL score report once a year from their bank. Additionally, you can use portals like Paisabazaar CIBIL score free to verify your data and stay updated on your Bajaj Finserv CIBIL score or SBI CIBIL score check free report.
This ensures that individuals stay informed about their financial health, understand the CIBIL score full form, and improve their performance in the CIBIL score range from 300–900.
Conclusion
The RBI’s latest guidelines aim to make the CIBIL score system more transparent and customer-friendly. From CIBIL score login notifications to a free annual credit report, these changes will improve customer awareness and empower individuals to monitor and maintain their financial standing responsibly.
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